The Federal Reserve Chair candidate supports the inclusion of cryptocurrency in the financial system, while lawmakers raise regulatory concerns

Kevin Warsh stated at the Senate hearing that digital assets "have become a part of the U.S. financial system" and supports their inclusion in the financial system to provide more opportunities and protections for investors.

This statement is seen as a signal of a relatively open policy towards the cryptocurrency industry should he become the chairman of the Federal Reserve. Warsh has previously referred to Bitcoin as "an important asset that aids in policy-making." However, Elizabeth Warren expressed concerns during the hearing, mentioning risks such as "shadow accounts" in the crypto space, emphasizing the need for enhanced regulation and prevention of abuse.